BlackRock CEO Larry Fink believes that the capital market can be more made more efficient by way of tokenising the digital assets like stocks and bonds while simultaneously improving investor access.
Here are some of the major developments from the world of crypto over the past few days
BlackRock CEO Larry Fink believes that the capital market can be more made more efficient by way of tokenising the digital assets like stocks and bonds while simultaneously improving investor access.
“BlackRock is exploring the digital asset industry and would continue to do so, especially in areas related to permissioned Blockchains and tokenisation of stocks and bonds,” Fink noted in his annual letter to the investors.
In the letter, Fink expressed his opinion that there are other digital assets with greater operational potential than Bitcoin. Fink said that exciting advancements are taking place behind the hype and fixation with cryptocurrencies.
MakerDAO to Increase Debt Ceiling by $750 Million
Lending protocol and Stablecoin issuer MakerDAO, which issues the DAI Stablecoin, has voted in favour of allocation of more funds to its current US Treasury investments.
The increase in investments in government treasury bonds aims to diversify DAI’s liquid backing through exposure to real-world assets.
With the preliminary vote to raise the DAO’s real-world asset vault debt ceiling to 1.25 billion DAI ($1.25 billion), MakerDAO has completed the first phase of its expanded venture into investing in real-world assets.
The three-day governance poll from March 13-16, 2023 was open for voting. According to the results, the proposal to increase the debt cap by $750 million received the majority of votes. The maximum amount of DAI that can be issued in MakerDAO in relation to the vault’s collateral is referred to as the debt ceiling. The current ceiling for the vault is $500 million.
Recent Collapse Of 3 Banks – A Blessing Or Bane For Bitcoin?
The collapse of three crypto friendly-banks early this March came as a shock to many. Signature, Silicon Valley Bank and Silvergate had good amount of exposure to cryptocurrencies. In fact, these banks were seen as flexible hubs where investors could park their crypto money.
Experts now believe that these banks’ failure is likely to have a short-lived impact on the crypto economy. In fact, they could be a blessing for Bitcoin and other cryptocurrencies.
Punit Aggarwal, founder, koinX said that crypto companies like Circle (the issuer of USDC) found themselves unreachable to the $3.3 billion it had in SVB. In the same way, crypto holders that are trying to convert their USDC to other Stablecoins are also excessively using the Ethereum network right now, which has set prices ablaze.